-- Western Energy Services (WRG.TO) after trade Tuesday reported lower profit and revenue for the first quarter.
The company said it earned $1.8 million, or $0.05 per share, compared with $2.4 million, or $0.07, a year ago "as lower adjusted EBITDA and higher stock-based compensation expense was partially offset by decreases in depreciation expense, finance costs, income tax expense, and other expenses due to a gain on the sale of assets in the first quarter of 2026". FactSet expected loss per share of $0.01.
Revenue fell 20% to $55.3 million from $69 million a year prior "as drilling and well servicing activity decreased due to market uncertainty and continued low gas prices," the company said. FactSet projected $56 million.
Regarding ongoing geopolitical tensions and continued shifts in energy policy, the company said "the extent and duration of the impact of these conditions on Western's customers and operations remain uncertain".
"Over the medium term, Western expects its fleet to benefit from increased drilling activity associated with major Canadian infrastructure projects, including LNG Canada and the Trans Mountain expansion, and from broader initiatives supporting domestic energy security and economic independence," the company said.
The company's shares closed down $0.01 to $3.11 on the Toronto Stock Exchange.